1 / 6

RNW: All Lines Michigan vs. All Line US, 1998–2007*

RNW: All Lines Michigan vs. All Line US, 1998–2007*. Figure 1. Profitability in Michigan’s property/casualty insurance markets is below that of the US p/c insurance average. Avg. RNW MI: 7.2% US: 7.6%.

saman
Download Presentation

RNW: All Lines Michigan vs. All Line US, 1998–2007*

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. RNW: All Lines Michigan vs. All Line US, 1998–2007* Figure 1. Profitability in Michigan’s property/casualty insurance markets is below that of the US p/c insurance average Avg. RNW MI: 7.2% US: 7.6% *Latest available return on net worth (RNW) figure from the National Association of Insurance Commissioners is 2007. Sources: NAIC, Fortune; Insurance Information Institute.

  2. RNW: Michigan All Lines vs. Fortune 500, 1998–2007* Figure 2. Avg. RNW MI: 7.2% US: 13.6% Profitability in Michigan’s property/casualty insurance markets is barely half that of the Fortune 500 benchmark *Latest available return on net worth (RNW) figure from the National Association of Insurance Commissioners is 2007. Sources: NAIC, Fortune; Insurance Information Institute.

  3. RNW: Michigan Pvt. Pass. Auto vs. US Pvt. Pass. Auto, 1998-2007* Figure 3. Avg. RNW MI: 2.1% US: 8.4% Profitability in Michigan’s auto insurance market—at just 2.1%--is just 1/4 that of the US average *Latest available return on net worth (RNW) figure from the National Association of Insurance Commissioners is 2007. Sources: NAIC, Fortune; Insurance Information Institute.

  4. Figure 4. Michigan Auto RNW vs. 10-Year US Treasury Yield, 1998-2007* The average return experienced by Michigan’s auto insurers is less than half that of a risk-free investment in 10-year US Treasury securities. MI’s auto insurance market is not risk free. Percent Avg. RNW MI: 2.1% US: 4.9% *Latest available return on net worth (RNW) figure from the NAIC is 2007. Sources: NAIC, Federal Reserve;Insurance Information Institute.

  5. Figure 5. Average Auto Insurance ExpenditureMichigan vs. US, 2000-2007* *Latest available data from the National Association of Insurance Commissioners is for 2007. Sources: NAIC; Insurance Information Institute.

  6. Consumer Price Index for Medical Care vs. All Items, 1960-2008 Figure 6. (Base: 1982-84=100) Inflation for Medical Care has been surging ahead of general inflation (CPI) for 25 years. Since 1982-84, the cost of medical care has more than tripled Soaring medical inflation is a major driver of cost in Michigan no-fault auto insurance claims, with no end in sight. Source: Department of Labor (Bureau of Labor Statistics; Insurance Information Institute.

More Related